Stock Track | HUAQIN Plummets 5.96% Intraday on News of RMB 2.65 Billion Nexchip Stake Acquisition
Stock Track
Apr 29
HUAQIN's stock plummeted 5.96% during intraday trading on Wednesday, following the company's announcement of a major acquisition.
The company revealed plans to acquire an additional 5% stake in Nexchip Semiconductor Corporation for RMB 2.65 billion in cash, increasing its total holding to 11%. The transaction involves purchasing approximately 100.4 million shares from Powerchip Venture Capital at RMB 26.41 per share.
This significant cash outlay for the semiconductor foundry investment appears to have concerned investors, leading to the sharp price decline. The acquisition is classified as a discloseable transaction under Hong Kong listing rules and is subject to regulatory approvals.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.